Hello,
I’m looking at a deal to buy several units (in NZ) on a single title. We’re negotiating a 12 month settlement with the intention of strata titling (and value adding) them during settlement (after unconditional of course).
What are the legal implications of doing this? If the vendor agrees to allow us to do this on the S&P agreement and we pay all the associated costs is there any reason why we would be prevented from completing the strata titling before we actually settle. Of course, the vendors name would be inserted for each new title.
Any suggestions/thoughts/feedback would be much appreciated. Thanks.
Ok, perhaps I should have posted in the OS Deals forum. Well, I spoke to one surveyor who didn’t think there would be any issues. I’ll see if I can get a second opinion to confirm this.
Gary
I have never done it in NZ but have done it in Brisbane over 30 times and it isn’t that difficult.
After you have your Contract Terms reflect that you are able to Strata the block at your expense and the Vendor agree to sign any application to the relevant Council you are up and running.
Make sure the Contract makes provision for who is responsible for the additional costs once the building has been strata titled such as Insurance, rates and body corporate if this applicable.
Legally it is a breeze.
Richard Taylor
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Thanks for the tip Richard – much appreciated. I will need to add some terms to our contract to cover this. Do you use specific wording for this provision? It sounds pretty straight forward.
I’ve had a second surveyor confirm this so it looks good to go. Thanks again.
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